If a person wants to open an event planning business in Asia, she or he must understand how to develop a unique product that will be truly useful. A person who knows how to be creative and communicate with people will definitely find a good place within their chosen niche. Let’s discuss some of the subtleties of launching an event business and the difficulties associated with this decision.
What do you need to start an event planning business?
An event planning business provides services for public events, where the company acts as an initiator of the event and provides financial support by selling tickets or inviting sponsors. Event agencies may not hold their own events but instead organize them at the customer’s initiative.
There are also BTL-agencies, which conduct promotions that are not quite events but rather are usually held over a long period of time, have a wider audience, are held simultaneously in different regions, etc.
PR agencies specialize in the organization and management of events for special audiences, namely, the media. The main formats for such events are press conferences, press tours, and various others. No matter which direction you choose, event planning is an extremely interesting and needed niche for both customers and organizers.
However, customers often find the event business unprofessional, making the industry highly competitive, which is another reason to learn how to open an event planning business and to try your hand at events organization and management.
So how can you start an event planning business in Asia? To begin with, you’ll need the following:
- A business plan
When you start a new business, the first thing you need is a business plan. Starting an event planning business with no experience is not a problem, but you will need to approach it wisely.
Decide first on what kind of company you want to organise, either as a private event organiser or business event organiser. If it’s in the business sector, you will need to decide if your customers will be small, medium, or large business corporations. In fact, you may even become a universal online platform for any customer type.
– Business legalisation
Starting an event planning business in Asia also requires the appropriate licenses, taxes paid, insurance, and certificates. Take care of the legal side of your business, and arrange and put documentation in order. Hire skilled people to be in charge of this, such as accountants, lawyers, etc.
- Building up a legitimate business protects you from actually being personally at risk if your event arranging business is sued.
- Enroll for charges. You should enroll for an assortment of state and government taxes imposed before you can open a business.
- Open a business account. A devoted financial record for your event company is important. Getting your business in order under professional supervision keeps your funds safe and makes your business more trustworthy and reliable to your clients.
- Set up business bookkeeping. Recording your different costs and sources of income is basic for understanding ROI, the monetary execution of your business, its risks, etc. Additionally, keeping precise accounts improves your yearly expense documentation.
- Acquire all important permits and licenses. The inability to gain essential permits and licenses can result in large fines or may even be the reason your business closes down.
- Get business protection. Protection is recommended for all entrepreneurs. If you hire workers, labour protection will be a lawful prerequisite for your company.
– Brand definition
Your brand represents what your company stands for, how you will execute your services, and how it will be accepted by your audience.
– Physical office
First, you need to invest in office equipment: laptops, a scanner, a printer, a copier, a router, and mobile phones. In addition, you’ll need to rent an office and buy furniture with at least two to three tables with chairs, storage space, a safe for documents, etc. Professional equipment (sound, lighting, etc.) for events may be rented later or bought as the business grows. Initially, however, it is better to rent this equipment or to use the services of subcontractors.
– Working conditions
You will need to consider renting a small office in a shopping or business centre near the subway or any other public transportation. You may also consider a more distant city location with great parking conditions and a transfer for those who have no transportation of their own.
At the start, you will definitely need a sales manager and a project manager. They may also receive a percentage from the incoming orders. You may also need cleaning services as well. A business owner will be engaged in attracting customers, advertising, monitoring current processes, and keeping accounts, so some of the other tasks must be handled by others.
– Marketing and advertising
Website development and having a portfolio with photos and contacts is a must. Thus, you will also invest in the domain, hosting, and providing technical support for a period from one to three years, until your business turns into a full-fledged company, not just an event start-up. Use free Internet resources, such as social networks like Instagram, Pinterest, Facebook, etc., to promote your platform. And, of course, print your own business cards.
– Project payback
In each order, about 70% of the financing will go to current expenses: the rental of premises, equipment, design items, and the remuneration of artists, waiters, etc. Based on this, you can estimate the average payback of your event company. With an average cost of a weekend holiday event (entertainment program with two to three artists, a festive dinner, etc.), the revenue may only be about $500–$1,000. If you organise three such events per week, with advertising expenses and other issues, you may earn more.
Taking into account advertising costs, you should understand that your project will pay off in seven to eight months. There are risks in the form of low seasons and currency fluctuations, but these can be minimised by attracting family and business clientele as well as by charging prepayments for services.
Major sources of income:
- The commission (agency management), which is an amount paid by the client to the agency for the organisation of the event and is determined as a percentage of the total budget of the event
- Agency fee (discount)
- Fees for the best event concept creation, design, technical production services, etc.
- Online registration fee, etc.
Depending on which type of business you choose to be—business or personal, web- or land-based—you will set up the major income resource.
An event company is a company that organises and manages events according to its clients’ demands. If you want to enter this dynamic industry and discover how to start a business as an event planner effectively, follow us for useful updates.
As always, we welcome your suggestions and feedback in the comments below.